dweelea
New Member

Education

The amount that you can claim for educational credits is the tuition paid, minus the scholarship income.

If the scholarship is non-restricted (meaning that the student can use it for non-tuition expenses like room and board, the student can elect to claim some of the scholarship money as income on their return - potentially increasing the amount available for education credits.  But that can be a complicated equation because other things (like kiddie tax) can come into play.